Based on the information available including related party...

Based on the information available including related party matters, I believe this will be a better deal than the post-announcement price action suggests (greater than 10% drop). The reason: this will go to an EGM. Don't think for a moment that the majority of shareholders will vote in favour if it is a non-earnings accretive deal. The chairman knows this, the independent board committee knows this and the significant shareholders know this.

Since Thorney anchored the capital raising a few years ago, the company's capital management has been exception: unlocking significant cash from their balance sheet, building a cash pile, paying fully franked dividends (where franking credits were available) and returning capital (which is tax efficient in the absence of franking credits). I would be inclined to give the management and the independent board committee the benefit of the doubt on this capital management activity.